At Operation Dental, managing supply costs has always been a strategic, team-driven approach. We ensure every dental office is stocked with what’s needed while controlling expenses and staying efficient, flexible, and cost-conscious without compromising care quality.

In most offices, the lead dental assistant oversees inventory, ordering, training, and supply usage, while other team members assist with inventory checks and adding items to the order list. Larger purchases, like new equipment or specialty instruments, are reviewed and approved by leadership on a case-by-case basis. For new offices, our central team reviews and approves all orders during the first year to establish consistency and cost efficiency.

Each office conducts a monthly inventory check during the last week, and places one consolidated order at the start of the following month. This predictable rhythm prevents overstocking, supports budgeting, and reduces shipping costs. If an office runs low mid-month, a smaller order fills the gap.

Maintaining open communication is just as important as our logistical systems. Regular conversations about supply costs and market trends raise awareness, encourage mindful usage, and foster collaboration to identify cost-saving opportunities. When team members understand the impact of inflation, tariffs, and vendor pricing, they become more proactive and cost-conscious, helping the entire organization operate more efficiently.

Our offices use a manual paper-based tracking system that records what needs to be ordered and in what quantities, keeping the process straightforward, accessible, and accountable at the office level. Expired products are rare in our offices because we intentionally maintain a lean inventory that is just enough to meet patient needs without creating excess. When one office has extra supplies, they share them in our group chat so other locations can repurpose items, minimizing waste and saving costs across all dental offices.

Each office operates under a monthly budget based on a percentage of its average production, broken down into categories such as dental supplies, implant supplies, and lab fees. These metrics are tracked in our goal spreadsheet, which management reviews monthly. Some offices occasionally exceed their budgets while others come in under, but most remain within or below budget over the quarter or year as long as production goals are met.

This balanced approach allows flexibility without sacrificing financial discipline. We review spending trends during our traction meetings, held three to four times a year, working with teams to identify ways to stay on track. During office visits, leadership also meets directly with the individuals responsible for ordering and the doctors to review performance, provide support, and address recurring budget challenges.

Some of our best cost-control insights often come directly from the team. Regular check-ins help us identify waste points and make smarter purchasing decisions. A great example came from a small but impactful discovery: the mixing tips used for temporary crown material were slightly longer and cheaper, but wasted more material. After review, we switched to shorter mixing tips across all offices, reducing waste, lowering costs, and proving that minor adjustments can lead to meaningful savings across the organization.

Operation Dental partners primarily with Henry Schein and Atlanta Dental Supply, which account for roughly 90% of all supply and equipment orders. By concentrating our purchasing power, we've secured group discounts, better terms, and annual rebates. We use house brands for everyday supplies and maintain direct manufacturer relationships for specialty products.

We meet quarterly with both major vendors to review our order history, pricing, and opportunities for further consolidation.

“Since 2022, we’ve reduced our annual item list from over 13,500 different SKUs to just over 1,500, a major improvement that led to significant pricing advantages,” said Josh Reynolds, Operations Manager at Operation Dental.

We renew volume-based pricing agreements with our key partners each year to keep costs competitive and stable despite market fluctuations.

Unlike many DSOs, Operation Dental values doctor autonomy. We allow our dentists to choose materials and labs that align with their clinical philosophy, ensuring comfort and quality in patient care. At the same time, we encourage testing lower-cost alternatives, and when a new product proves effective and efficient, we adopt it across the organization.

We have standardized mechanical room equipment with one vendor for consistent quality and pricing, consolidated amalgam separators to cut maintenance costs, and replaced disposable air-water syringes with reusable metal ones, which require a higher upfront investment but save money over time and reduce plastic waste.

This year’s global dental supply market has been unpredictable, with rising tariffs, inflation, and international supply chain challenges driving multiple price increases. Since more than half of our dental supplies are manufactured overseas, including China, Taiwan, India, Mexico, Canada, and Germany, these global economic shifts have significantly impacted Operation Dental.

Despite these challenges, Operation Dental’s growth and scale have secured stronger vendor tiers and more competitive pricing to offset rising costs. Operation Dental expects fewer rebates and promotional incentives in 2026, so we’ll focus on strategic consolidation, stronger partnerships, and new efficiencies to remain resilient, cost-effective, and positioned for sustainable growth in the years ahead.